MarketMoodz
Cramer: Equinix Is 'A Great Way to Play the Data Center'
Jim Cramer told viewers during Mad Money's lightning round that Equinix is “a great way to play the data center,” singling out the company as a practical proxy for AI- and cloud-driven demand for capacity. The CNBC recap of the May 20, 2026 segment also mentioned Xometry, underscoring the show's focus on tech and infrastructure names.
Key Takeaways
- Jim Cramer called Equinix “a great way to play the data center” during Mad Money's lightning round.
- The CNBC recap of the lightning round was published May 20, 2026 and referenced Equinix and Xometry.
- Equinix is being positioned as a direct way for investors to gain exposure to AI- and cloud-driven data-center demand.
- Investors should weigh dividend yield, heavy capex needs and interest-rate sensitivity when considering data-center REITs.
People Involved
- Jim CramerHost, Mad Money (CNBC)
Entities Involved
- Equinix, Inc. (EQIX)Global data-center operator and colocation/interconnection platform
- Xometry, Inc. (XMTR)On-demand manufacturing marketplace mentioned during the segment
- CNBC / Mad MoneyBusiness-news program and publisher of the recap
MarketMoodz Analysis
Cramer's endorsement frames Equinix as a straightforward way for investors to tap sustained demand for data-center capacity driven by AI, cloud and enterprise digitalization. For portfolios, that means data-center REITs like Equinix offer a mix of growth exposure and income through recurring colocation contracts and interconnection services; but they also carry heavy capital-expenditure profiles and sensitivity to interest rates that can compress near-term returns.
Historically, data-center owners have outperformed during waves of cloud expansion because scale, network effects and long-term leases create pricing power and higher utilization. Equinix's scale positions it well versus smaller peers, yet investors should remember the trade-off: maintaining and expanding capacity requires steady capex and rising energy costs can erode margins. In a higher-rate environment, REIT valuations can be more volatile, making yield and balance-sheet strength critical selection criteria.
What to watch next: quarterly leasing metrics and AI-driven footprint announcements, capital-spending guidance and power-cost trajectories will signal whether demand justifies further valuation rerating. The segment's mention of Xometry suggests viewers should also monitor adjacent infrastructure and tech-services names for cross-sector demand signals. Confirm the CNBC recap details and ticker moves on the original May 20, 2026 article before making trading decisions.
Source: Original Article